Rekha limited produces $4,000$ litres of paints on quarterly basis. Each litre requires $2$ kg of raw material. The cost of placing one order for raw material is Rs$.40$ and the purchasing price of raw material is Rs$.50$ per kg$.$ The storage cost is $2\%$ per quarter.Calculate Economic Order Quantity and Total Annual Inventory Cost in respect of the above raw material.The Purchase manager suggests that it would be beneficial to place an order for $1000$ kg of raw material every time. You are required to assess his opinion and give your advice on the same.